The Indian government has banned Bharti Airtel from offering 3G services in seven circles and fined it INR3.5 billion ($64.6 million), reports the Economic Times.

India’s largest operator by connections must stop 3G services in the circles that include Kolkata, Maharashtra and Gujarat. The move is part of the government’s efforts to crack down on operators providing services in regions where they do not have operating permits.

Bharti has opposed the directive from the Department of Telecommunications in the Delhi High Court, with the case being heard today.

A government official told the Economic Times that similar bans and penalties will be issue for Vodafone and Idea Cellular.

Bharti won 3G licences in 13 circles in the auction in 2010, while Vodafone secured spectrum in nine circles and Idea in 11 circles. The companies subsequently entered into intra-circle roaming pacts in which they could use each other’s spectrum where they did not hold it themselves. The government has now decided these pacts are illegal.

Separately, the Economic Times also reported that Bharti Airtel is considering Chinese infrastructure vendor Huawei as the supplier for its 4G network deployments in Delhi and Mumbai. Sources said that the final deal could potentially exceed $200 million.